How binary options really work. Accurate Binary Options Strategies - List and Description

Greetings, our dear readers and lovers of trading. The topic of our article will be a working strategy for binary options, which is based on divergence. In general, within the framework of this article, I want to tell you about an incredibly simple and working approach for binary options. However, even because of its simplicity, it does not lose its relevance.

Base at 70%

In essence, we will be trading through the appearance of a divergence. In my opinion, divergence is a simple but incredibly effective signal that can only be used in trading. Of course, you must understand that even such a high-quality signal will not work from time to time. However, a good divergence will work at least 70% of the time.

Who is this trading approach suitable for? It is suitable for beginner traders who this moment time on its own objective reasons do not yet have in their arsenal of high-quality trading strategy. I want to make a reservation right away, what I will show you is not the ultimate working trading strategy for binary options. I would say that this is a kind of foundation, already on the basis of which you can create your own strategy. And here is another basis for the approach: .

Therefore, it will be quite possible to choose your own additional filters, which, in your opinion, will help you get better and more stable results. You must understand that your approach should be simple, logical and most understandable for you. No point in overloading your strategy huge amount unnecessary tools. If we talk about indicator strategies, then 2-4 indicators are enough for your eyes to get a high-quality system at the end.

Moreover, you must be able to prioritize wisely! Yes, the strategy is the most important factor in determining the quality of trading, but it is far from the most decisive. That is, it is not enough to have a high-quality strategy, while you need to have psychological stability and follow the rules of money management.

That is, if you have even the most profitable strategy at first glance, but at the same time you do not follow the rules of money management, or every time you follow your emotions, then you simply will not be able to trade efficiently. This has already been proven by the experience of thousands of different traders.

Dealing with discrepancy

What is divergence anyway? I'm not going to give you long and tedious use of different terms, I simply don't think it's necessary. If to speak plain language, then divergence is a process when the oscillator readings diverge from the current market movement. That is, if we see that, for example, the oscillator renews its maximum, while the market fails to do so at the same moment, then we have the same divergence. At its core, this is a very strong signal, which is a harbinger of, if not a market reversal, then at least a good rollback, which we can just use for personal trading purposes.

The first thing you need to understand when applying a divergence is that it doesn't appear often, especially if you are waiting for a quality divergence. However, the rarity of signals is more than justified by their accuracy. Which indicator will help us look for divergence.

The most popular representatives of the group of indicators that will help you look for divergence are: Stochastic, RSI, MACD.

Naturally, any novice trader will have a question, which indicator is better for these purposes?

Watch strategy video


Generally speaking, it is impossible to single out a clear favorite who would not have flaws. I would say that here the question rests on a purely personal perception of each trader. It’s just that it’s convenient for one to use stochastics, and for another RSI. So you need to dance personally from what you yourself specifically prefer. Some people find it convenient to use one, while others need to use a completely different one. Personally, within the framework of this article, I want to show you how a working binary options strategy based on the search for divergence using the MACD behaves.

It was not for nothing that I called the MACD a truly unique indicator. The fact is that it has incorporated aspects of a trend indicator and an oscillator. From the oscillator, he absorbed the ability to indicate potential divergence. From a trend indicator, it shows us the direction and strength of the trend.

I think that you do not need to introduce this indicator, because it has long been known to all traders. This indicator has been used on the stock exchange for many years, while being an oscillator in its structure, it shows divergences in the market quite well. Now, let's talk in more detail and substantively about how to use our approach in practice.

Usage

Now I want to tell you about the approach I propose. We will use a five-minute interval for work. However, we will use options with an expiration time of 50-60 minutes. The fact is that in this way we will give the price some space.

That is, our forecast as a whole may turn out to be correct, but if we give too little time for expiration, then the price simply may not reach our target, so we use a higher expiration. As for the underlying assets, there are no restrictions, because divergence works on all intervals, all assets and all markets.

So, we open the M5 interval, set the standard MACD, and this completes the preparation of our working chart.

Now we are waiting for a potential divergence. If the indicator renews the maximum, but the market does not, then we consider vice versa. I understand that in words it is quite difficult, therefore, let's look at an example with you.

Here we see an example of a good divergence that would give us the opportunity to buy a call option. First of all, we can see that the market has updated its low, but MACD indicator at the same moment, the low did not renew, and a new low appeared above the previous one. In total, we have a potential divergence, which has worked out very well. As I said, we buy an option for 50-60 minutes.

Actually, here are simple rules. I think that a beginner will not even have any special problems with this. Right off the bat, I want to tell you that divergence does not appear in the market very often, even if you use small intervals. For example, on the M5 interval, on average, you can see 1 divergence per day if you use the MACD.

But I don't think it will be that straight big problem, especially if you use multiple assets. For example, if you use all 6 major currency pairs in trading, then you will have an average of 3-6 signals per day, which is quite enough.

conclusions

What I have given you is a fairly simple working approach, on the basis of which you can create your personal trading system. Remember, you do not need to complicate your trading in order to achieve a result. Moreover, you need to make it as simple and understandable as possible for you. Well, I will say goodbye, and I wish you good luck in such a difficult task as trading!

Beginners who enter the binary options market for the first time often make the same mistake: hope to find universal binary options strategies with accurate signals , which would always work, regardless of external conditions.

In the world of finance, it is important to remember that a recipe for luck that suits another person will not necessarily suit you due to time and a different consciousness (making different decisions with the same knowledge).

There are many factors that affect the success of a particular strategy, and one of them is the temperament of the trader himself, the speed of his reaction, as well as standard patterns of behavior in different situations. For example, not for everyone binary options strategy for 60 seconds- many people prefer more conservative and long-term methods. This does not mean that the model is bad - just that you need to find a different way of working.

In addition, if you first stumbled upon an algorithm that helped you get high profits, you should not think that this will always be the case. Some binary options strategies eventually become obsolete and stop working, so you should always have fallback options in mind.

The best binary options strategies are the ones that work for you.

A successful trader will call good strategy not because she is now at the peak of popularity, but because at one time she personally brought him a lot of profit.

Profitable strategies for binary options fall into the following categories:

Strategies by way of market analysis

  • strategies based on fundamental analysis;
  • strategies that use technical analysis.

One of the most common ways to make money based on fundamental analysis is. The bottom line is that you analyze economic, political and even weather news and guess which of them will resonate in the financial world.

For example, hurricanes in the United States affect the exchange rate, as well as commodities.

If we talk about strategies for binary options, then 99% of them are based on technical analysis, namely indicators ( , ...) - these are the parameters by which you can determine the future rise or fall in prices, and make an appropriate forecast.

Binary options strategies by complexity

There are 2 types of strategies here − simple and complex. The difference between them is only in the analysis tools themselves. Simple Strategies use one or maximum 2 indicators with very visual signals, for example pointer indicators. Complex strategies include those where you need to open indicators on different timeframes, connect more than 2 indicators and use more complex tools like "" or "".

Strategies for binary options by duration

  1. long-term(transactions last for one day or more);
  2. short-term(binary options strategies for 60 seconds, 5 or 15 minutes, an hour).

According to statistics, more than 80% of traders prefer strategies for 10-15 minutes. They are more predictable than 60 seconds, and more profitable than an hour or a day.

Binary options strategies with 90% accuracy

If you have not yet decided what suits you, it is best to familiarize yourself with the examples best strategies binary options for beginners and not only, which have long established themselves in the market. After getting to know them better, you will understand the mechanism of binary options trading and develop your own algorithm.

Strategies for 60 seconds

Strategies for 5-15 minutes

Strategies for 30-60 minutes

Why is it important to choose your own strategy?

Best and profitable strategies with accurate signals cannot be universal. Yes, they help to earn money for many, but not for everyone. Even if you decide to use paid strategies, this does not mean that from the very beginning it will be possible to rake in money with a shovel. Paid versions are just commercial projects of those who created them. You may like this option, and you will develop a good strategy that you can sell later.

Do not be naive - the binary options trading market is not built on random luck, but on constant daily work and improvement of your skills.

Of course, it happens that beginners hit the jackpot on the first day, but there are actually only a few of them. To notice the emerging signals (indicators) on the chart and interpret them correctly is not a matter of one day, but if you want to develop this area, this area will bring a lot of money.

How to create your own strategy?

First of all, observe yourself - even using the “poke method” you can determine which trading strategies for binary options are suitable for you and which are not. If you like speed, quick response and instant profit jumps - look at short-term options ( strategy for 5 minutes or even 60 seconds).

Evaluate your ability to switch to another task if plans suddenly change - if you can easily change positions, pay attention to aggressive trading. This is not to say that aggressive traders act at random - they are also required to soberly assess the situation, and to do this in a much shorter period of time than conservatives.

Compare several trading options, learn the basics of fundamental and technical analysis - all this will come in handy if you intend to become a good trader.

Don't get hung up if something went wrong. There are failures in any business, but the percentage of successful transactions will inevitably increase, unless you give up after one or more failures.

How to Use the Right Strategy to Trade Binary Options

Any broker through which binary options are traded operates according to almost the same scheme, so even beginners will not be difficult to understand what needs to be done. The only thing that is required of you is to follow the instructions for a particular strategy with accuracy.

  1. Choose a strategy and apply the conditions on the chart.
  2. Find the most suitable asset for this strategy, for this you need to look at the history of the chart for several different assets, and choose the one on which the strategy gave fewer false signals.
  3. Specify the term of the transaction.
  4. Specify a forecast depending on the strategy signal UP or WAY DOWN.

In addition to ready-made strategies, you can use individual trading signals or apply different types technical analysis with instant signals, for example, Japanese candlesticks can immediately signal reversals. By combining candlestick analysis with Price Action patterns, you can come up with your own strategy. And of course, every binary options strategy must keep pace with risk management (money management).

If you find an error, please highlight a piece of text and click Ctrl+Enter and we will definitely fix it! Thank you so much for your help, it is very important for us and our readers!

Greetings, dear site visitors. Our team noticed that short-term strategies with an expiration time of a couple of minutes have been very popular lately. Actually today we will look at a working strategy for binary options "Turbo", which is an effective trading tactic based on a number of custom indicators. "Turbo" is a multi-currency tactic, and the expiration time for buying an option is only two minutes. The choice of market instruments depends only on your preferences, since the strategy is universal.

Watch video on this strategy

Strategy preparation. Installation

In order to apply the strategy, we need a special exchange terminal, which can be downloaded for free on the official website of the developer or from any Forex broker. After you have acquired a trading terminal, you will need to install special custom indicators, which you can download at the end of the article. The downloaded file contains template indicators that need to be installed in the system folders of the terminal. To access the system folders in an open trading terminal, go to the file menu and select the "Data directory" menu item. In the list of folders that appear, we find a folder called indicators and drop indicators into it, as well as a folder called Template and drop our template into it.

After restarting the trading terminal, open the minute chart of any currency pair and call the additional menu on it with the right mouse button. In the list that appears, select the "Templates" section and launch "Turbo". Indicators with all the necessary settings will appear automatically on the chart:

Indicators. Settings

The considered trading strategy for binary options consists of three indicators, namely OB OS Suite, MovingAverage, RSIFilter.

OB OS Suite - this indicator is an oscillator and is located in the first window in the form of a gray line that changes its color from red to green. This indicator practically duplicates the readings of the stochastic oscillator, so we can safely say that this is one of its modifications. In the settings, you can change the oversold and overbought levels, entering which the indicator changes its color, as well as the indicator calculation period itself.

MovingAverage- this tool is also in the first window in place with OB OS Suite as a dotted line. MA is ‘the most popular trending tool that displays a change in trend, namely, it averages the price over a certain period, thus showing us the true trend without market noise. In the settings, you can change the period of the instrument, the type of moving average, and which prices to apply the indicator to:

RSIFilter is a modified Relative Strength Index (RSI), the essence of which is to filter out false signals. In the strategy, this indicator is located in the last two additional windows in the form of red and blue columns. The principle of operation is extremely simple, namely: if the RSI line is above the level of 50, the bar turns blue, and if it is at level 50, it turns red. You can change the period of the indicator in the settings.

Signals

Signal to buy an option "Up":

  1. In the first window of the chart, we observe the intersection of the lines of the OB OS Suite and MovingAverage indicators, namely the gray line of the OB OS Suite crosses the dotted MA from the bottom up. The signal is considered stronger if the lines are out or in the oversold zone (from 0 to 30).
  2. At the time of the intersection, the RSI Filter bars should be blue, which confirms the upward direction of the market.

After the signal appears in MT4, we go to the broker’s platform, and in our case, it’s Wager and buy the “UP” option. Don't forget to set the expiration time to 2 minutes.

A trader will never be able to make money in the binary options market if he does not clearly understand two things. First, you need to understand their principle of operation. Secondly, the investor must work properly with the chosen broker. Only in this case, you can achieve success and secure financial independence.

So, this article is a must-read for anyone who wants to figure out how binary options work.

Each trader must understand that binary options trading on the platform of a brokerage company is not connected with entering the world stock exchanges. In other words, as a result of the transaction, there is no purchase of the underlying investment asset.

Consider an example. When Tesla shares are chosen as an asset for trading, the investor does not buy the securities themselves when concluding a transaction. In fact, he is betting on the direction in which the value of these shares will move in the future.

A high-quality and honest broker provides its clients with real exchange quotes, but each transaction is carried out within its trading platform and is not displayed on the exchange.

At the same time, it is wrong to compare the work of binary options trading with playing in a casino or betting at bookmakers. These are real investments that, with the right approach, can bring a stable profit to the trader.

Now we understand that binary options trades take place inside the platform of a brokerage company. But in this case, it becomes obvious that the broker is profitable when the trader makes unsuccessful bets and loses money. They are the ones who generate income for the company.

At the same time, even honest binary options brokers do not have problems with making a profit. This is due to the fact that, according to statistics, the number of successful and experienced traders is much less than the number of unsuccessful investors. Moreover, in the investment market, binary options are considered one of the most profitable areas for business.

Thus, if a trader wants to be successful, then he must approach binary options trading without any illusions. Do not think that you can earn easy money here. Before moving on to trading, you should understand how brokers work and accurately calculate all your further actions.

Remember, every trade cannot be profitable. However, clear and competent actions will help you to reduce the percentage of failures to a minimum.

Trader's actions

In the case of binary options, we are dealing with rates that predict the movement of the quotes of the underlying asset. Working here is much easier than trying to make money on Forex or another exchange.

The actions of a trader who has set his sights on making money can be described as a clear algorithm. Follow the steps below and you will be successful.

Step #1. We study theory.

After you have learned about the possibility of making money on binary options, you should not immediately register with a broker, transfer money to him and start trading. This path leads to a quick and guaranteed drain of the deposit. Trading should not be based on luck.

First of all, you need to get acquainted with the basics of binary options trading. It is about learning all the basic terms. The words expiration, underlying asset, timeframe, indicator, technical analysis, candlestick chart and others should not be a mystery to you. On average, it will take you 3-7 days to study the theory.

Step #2. Broker's Choice.

Successful trading is possible only on the site of a high-quality and reliable broker. When choosing a brokerage company, you need to pay attention to several key aspects:

  • guarantees provided – availability of a certificate or license from an independent regulator;
  • favorable trading conditions - the minimum deposit and the size of the bet should not be burdensome;
  • convenience, functionality and speed of the trading terminal.

However, without sufficient experience, it can be quite difficult to objectively evaluate a binary options broker. For those who are not sure that he has enough knowledge to right choice, we offer an easy way out. Explore top binary options brokers.

Step #3. Open a demo account.

Opening and working on a demo account – milestone in the development of any professional trader. In no case should you neglect it and move on to real binary options trading.

A demo account will help a beginner get used to trading platform specific broker. On it, you can practice to your heart's content without risking real money.

Step number 4. We choose a strategy.

A few hours spent in a demo account will show you that luck is a bad ally in binary options. There will be a need to choose a profitable trading strategy.

We suggest that you do not get hung up on one trading system. Choose 4-5 strategies for yourself and test them thoroughly on a demo account. When you close at least 60% of the deals you make with a profit, you can make a deposit and start working to earn money.

Step number 5. Control over emotions.

Any investment is associated with experiences. Trading on a demo account will be easy. However, once real money is at stake, it becomes much more difficult to control yourself.

The right way is to strictly adhere to the chosen trading strategy. Don't let failure or success throw you off track.

Now you know how binary options brokers work. Moreover, you have a clear plan of action. Stick to it and the profit will not be long in coming.

Of the many strategies, only a few really make a profit, so let's get straight to the facts. you can see results using this method, and in this topic I demonstrate the withdrawal of profits received in the process of trading according to the strategy, which I will discuss below.

This is a working strategy for binary options, which is an author's system designed for trading turbo options with a 1 minute expiration period. Like any system, it has its pros and cons, which I will now introduce you to.

Advantages of a working strategy:

  • it is really profitable;
  • no specific assets required;
  • popular among brokerage companies turbo options.

The disadvantages of this technique:

  • does not give freebies, you will need to work;
  • not all brokers will be able to trade (details below);

Each trader, probably, can add some more pluses and minuses on his own behalf, but they will obviously be of a subjective nature. Now on to the description. working strategy for binary options trading.

Working strategy for binary options - theoretical background

First, a little theory, which is indispensable if you try to describe the very principle on which the this system. Most of the time the market is in equilibrium, that is, the balance of forces (buyers and sellers) is maintained. If the "mood of the market" changes, then there is an advantage in one direction, for example, if the value of the asset increases, then there are more buyers and the market goes up.

At the same time, if the market is in equilibrium, but a large player appears with a large order, then there is a short-term imbalance, which is quickly eliminated. Why is this happening? Imagine that there is a large buyer in the market who buys all counter orders at the current market price, then at a price that was less profitable (slightly more expensive), but this volume is not enough for him. In such a situation, we see a sharp price jump on the chart, which means that all counter volumes are bought out at several prices at once.

What happens next? A large buyer satisfies his need by buying a large total volume of opposite positions, and the market price has risen. Then there is a sharp increase in the number of orders for sale, because the price has risen and it has become profitable to close positions on it. Naturally, an increase in the total volume of sales drives the price down, that is, back to the levels at which a large buyer appeared.

The entire described process takes place in a matter of tens of seconds. During this time, we can make very good money using exactly binary options, and not some others. trading instruments. What is the attraction of such cases for us? The fact that we can catch the moment when the price jumps out of its equilibrium price corridor and apply a working strategy.

A sharp unreasonable price jump is most likely caused by the appearance of a strong player on the market with large volumes. In this case, the probability of a quick return of the price to the previous positions is high, which is due to the behavior of the bidders, which was already mentioned above.

Description of the working strategy of the binary options market

Let's start with what is required to use this system. Firstly, you need a broker who quickly and accurately executes the speculator's orders, otherwise nothing will work. Imagine that the price jumped up, you click on the “Lower” option purchase button, but a second passes, the market falls down and you have a deal not at the price that you needed, but at a lower one.

Each binary option must be purchased very quickly and exactly at the price that we see when it clicks on the deal button. Of the many companies where I tried to trade using this working strategy, in at its best The following brokers came up:

  • 24option
  • uTrader

In my opinion, 24option has the fastest terminal, followed by uTrader. Other options did not please at all, however, the Binomo terminal seems to be still good, and it is the most affordable of all the listed options (accounts from $10).

Secondly, all transactions must be 60 seconds long (short-term, turbo options), and EUR/USD can be used as an asset to start with. Personally, I only trade on this currency pair, but I know for sure that many traders already use the system on other assets.

To begin with, we identify the equilibrium state of the market, which can be expressed in three forms:

  1. lateral price movement (flat);
  2. smooth market growth;
  3. gradual price reduction.

If the price moves sideways, then this indicates an approximate equality of buyers and sellers. If the price moves up or down, then there is a gradual change in the equilibrium state. Any of the above situations is a signal for a trader about readiness, now he will need to wait for a sharp "knocking out" of the price from the trend.

As soon as the price sharply jumps out of its trajectory on the chart, we should immediately buy a binary option for 1 minute in the direction from which the shift occurred, as shown in this illustration:

One minute is quite enough in most cases for the application of a major player to be completely satisfied and the price then returned back. If you try to work with options for 30 seconds, then there may not be enough time for bidders to " returned"The market price back to the original positions. A longer period than 1 minute is also not very good, because the movement created by a major player has already been worked out and it is not known what the circumstances will be on the market.

The trading strategy is absolutely working for one minute binary options, I have been using it for a long time. It will be necessary to get used to the style of trading, to adapt to identify market situations when the price moves smoothly in order to catch the moment of jumping out. I can say that the time and effort spent on mastering the system will still pay off in full.




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